Areas to buy a home under Rs 50 lakh in Mumbai

Property prices in Mumbai significantly vary across its length and breadth. Therefore, home-buyers have some very attractive spots where they can buy a home within the Rs 50 lakh range. Homebuyers can get a 1, 2 or even 3-BHK flats in Mumbai, within a budget of Rs 50 lakh, but it depends on the correct synchronisation of the budget, site and amenity requirements.

Mumbai is among the costliest cities in our country to buy a property. It is regarded as a status symbol to own a property here. When compared to Delhi; Mumbai remains a high-priced real estate city. The average property price of a 1,000 sq ft home in Mumbai is about Rs 1.6 crore, while in Delhi, it is about Rs 1.1 crore. A lot of buyers are investing in pre-launches due to its cost effectiveness.

The buyer can have a good quality of life with a budget of Rs 50 lakh. There are several projects available, which have great amenities and schools for their kids. Depending on the site, the buyer can even purchase a 3-BHK apartment.

Areas to buy a home under Rs 50 lakh
Locations such as Thane, Dombivali and Badlapur are developing at a rapid pace with the creation of new infrastructure. Since land prices in these locations are less in comparison to the island city, the residential property prices in these areas are in the affordable range.

The following aspects make these locations profitable investment zones in the affordable home category:

• Their proximity to the island city;
• The presence of commercial business districts in and around these locations;
• An expectation of higher returns on investment in the near future.

According to experts, property buyers can invest in pre-launch projects within Mumbai or look for properties in the outskirts of Mumbai like Thane, Panvel, Ulwe or beyond Kalyan. A property in these areas starts at an average rate of Rs 4500 per sq ft. The prices here are growing marginally due to the infrastructure development plans of the airport, metros and freeways.

Based on the assumption that the buyer will travel by the local suburban train to and from work, there are primarily three possible large locations to buy a home in the Rs 50 lakh range:

• Areas of the central suburbs such as Kalyan-Dombivali and its periphery;
• Western suburban places such as the Vasai-Virar belt;
• The harbour areas of Kharghar-Panvel.

These locations have their own flourishing micro-markets with a substantial population. They have a good civic and social infrastructure such as open playgrounds, malls, multiplexes, schools, hospitals and other recreational amenities." Also, homes within the Rs 50 lakh budget are available in the outskirts of Mumbai, buyers have the option to go in for pre-launches, which are again time-consuming, but can offer great price appreciation benefits in the future.

A trade-off:
Experts advise that the buyer may need to cut down on certain aspects such as size of the flat, amenities, etc. Certain aspects that a buyer may need to be more accommodating of are:

Location:
The projects may not be located within the island city of Mumbai, but in its periphery;

Amenities:
Buyers may be required to compromise on recreational amenities to meet the cost criteria;

Connectivity:
Travel time could be an issue;

Walk-to-work:
Getting a 'walk-to-work' home in this budget is difficult unless the office is also situated in the outskirts.

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MCLR system dips home loan interest rate

The shift to the MCLR system from the base rate one, say experts, is a beneficial one for home loan borrowers. What does this spell for real estate?

Starting April 1 2016, all nationalised PSUs and private sector banks have adopted the Marginal Cost of funds based Lending Rate (MCLR) as against the base rate funding system, following the RBI's circular date December 17, 2015. This move by the banks, has resulted in a significant fall in the interest rate and the home loan lending rate immediately corrected by 0.3 percent for many banks.

Now, home loan borrowers have many doubts in their minds related to the new interest rate system such as its applicability on the old loans, its impact in the long-term and the necessary steps to switch over from the base rate system to the MCLR system.

"The basic difference between MCLR and the base rate is the consideration of key rates and the tenor premium (time left for the repayment of the loan) while fixing the lending rate costs. So, any cut or increase in rates (especially key rate like the Repo Rate) by the RBI, will now get transmitted to the bank customers immediately. For home loan customers, it is beneficial. Considering the current declining interest rate regime as with the new method, the transmission of the benefit of lowering key rates will be much higher and faster than the base rate system. Top banks have reduced their home loan rates further with the recent cuts in the repo rate by the RBI, post the implementation of the MCLR," says Deepak Joshi, president and chief business officer, Religare Housing Development Finance Corporation Limited.

The details:
Experts point out that the MCLR system is to be computed based on a formula prescribed by the RBI that is primarily based on the weighted average cost of term deposits and borrowings (based on the repo rates released by the RBI from time to time) of the bank's outstanding as on the previous day of the review and also the other components like operative costs, CRR, tenor premium, etc. It should be noted that the MCLR system shall not be applicable to fixed rate loans and where loans are partly on a fixed rate. The same shall not apply to the fixed portion of the loan as well.

The impact of MCLR on interest rate:
"Banks such as the SBI, ICICI, are to be the first ones to introduce the MCLR rate to their home loan customers. If you look at the gap, it is around 15-20 basis points, between the MCLR and base rate for one year term. It is generally said that banks with better matched assets to liability ratio can have a short period reset than others who have a mismatch of their assets to liability ratio. A majority of the big banks is looking at a reset of a 12 month period for MCLR. Unless the gap is higher, it would not make any commercial sense for existing borrowers to move to MCLR," explains Rajiv Raj, co-founder and director Credit Vidya.

The long-term effect:
Going forward, in a falling interest rate scenario, the MCLR system will benefit the customers as the reduction in repo rate will reflect on their interest rates. However, in an ascending interest rate scenario, the customers will have to bear the brunt of the increase in interest rate for their home loans, explain experts.

While the MCLR based interest rate system would apply to all new home loan borrowers, the existing loan borrowers have an option to switch to the MCLR-based interest rate system with a 'mutual agreement with their banks' and on the payment of a fee. The question thus, to be answered is should one opt to shift to the MCLR-based interest rate for their existing loans?

Kalpesh Maroo, partner, BMR and Associates LLP says, '"The answers to the above question will vary in different scenarios and one ought to consider factors such as outstanding loan, remaining tenor of the loan, interest differential, other charges levied by the banks for the switch-over, etc. The MCLR system should facilitate rate cuts provided by the RBI, and pass them down to the consumers and should hence, provide more purchasing power and monetary outflows into the market and consequently, such a move will give a boost to various economic sectors. The interest resets mandated by the RBI, at least once a year, could further benefit the consumers, given that the interest rates are on a downward slope. However, since the future cannot be accurately predicted and the RBI increasing the repo rates cannot be ruled out either, the MCLR system could have an adverse effect when the interest rates are on an uphill and this would be particularly relevant for long-term borrowings."

To switch or not to switch?
Experts suggest that it is not compulsory for existing home loan borrowers to switch to the MCLR system. They can continue with the base rate. However, considering that the declining interest rate regime will continue in the near future, one should switch to the MCLR system as the transmission of benefits of lowering key rates will be much higher and faster than the base rate system, especially if one is planning to pre-pay the loan faster before the reversal of the interest rate cycle. One should also factor in the switch fee, if any, being charged by the banks for the switch.

To Buy Property in Thane or Know More about Builders and Developers in Thane Contact Us at 022 2580 6868

The Rise of the Home Buyers

The MCHI-CREDAI's 26th Property Exhibition 2016 came to a grand close with many potential home-buyers sealing the deal

Behind the dark plastic exterior of the exhibi tion hall, looming over MMRDA grounds at Bandra-Kurla complex, a motley crew of real estate majors got together between April 7 and 10 to make their presence felt, behind the well-organised stalls, pulling in a number of enthusiastic buyers.Many of the owners represented a cross-section of Mumbai's real estate honchos who got together to discuss real estate and meet prospective buyers. Several financers offered spot loan sanctions and freebies, among others too. The theme for MCHI-CREDAI Property exhibition 2016, `Buy Now', encouraged the property buyers to scout for opportunities and push the buying button on the occasion of Gudi Padwa.

The expo saw 100 plus developers and over 57,000 home-buyers, interacting with each other through a common platform. The developers who participated in the exhibition generated a total on-the-spot business of Rs 246 crore and a perspective business of Rs 875 crore. Banks who participated recorded a pre-sanction of Rs 270 crore.

Builders, developers and customers gleefully acknowledged the good responses and walk-ins during the four-day long event.Mukesh Makwana from the Makwana Group, said, “We have witnessed a large num ber of walk-ins to our stall and expect some of those to convert into home-buyers. We generated sales on Gudi Padwa and we believe that customers like offersfreebies on special occasions. Customers prefer a competitive pricing bracket for a good apartment over anything else.“

All the concerns for a more transparent real estate sector and high property prices were all deviated by the response from the customers. Vinay Mishra from Proviso Builders and Developers, expressed his satisfaction over good walkins he received to his stall.“We have tied-up with prominent banks for offering low initial finance, which will help home-buyers greatly. It is a subvention scheme where we will be paying interest till the time the regular EMI starts,“ says Mishra. Tejas Vyas, chairman, exhibition committee, MCHICREDAI, feels, “Enthusiastic participation by developers, banks, HFCs and other service providers made the expo an ideal destination for all property seekers in Mumbai.Crowds thronged the venue with the dream of owning a house amidst a host of properties being showcased there. A majority of them was serious who were able to spot the properties of their choice at the expo and even leveraged on the attractive offers.“

“Home-buyers were particularly happy with banks and HFC stalls where the executives explained in a very simple and organised manner about various home loan schemes that are available in the current market. Indeed, good times are ahead for the real estate sector and signs are visible of the same with the response being generated at the expo,“ adds Vyas.

Buyers too expressed their satisfaction over the event. “I am looking for a one-BHK budget-apartment between Goregaon and Borivali. I found the MCHI-CREDAI Expo to be really good. Here, everything is available under one roof like a wide range of properties all across Mumbai, good information about the area and property and many banks who ex plained all their schemes in detail,“ says Kalpana Korgaonkar, a buyer.

Despite the cool, dark interior, everything seemed transparent at the venue.There was no unnecessary prodding or probing anywhere. And you were unlikely to sense any kind of anxiety or concerns among the lot there.

It seemed to be a really calm and organised affair.“Even in tough times, if we keep our cool and invite in really enthusiastic, positive people, that makes all the difference,“ says Ariana Sen, a city-based architect who visited the venue over the weekend.

To Buy Property in Thane or Know More about Builders and Developers in Thane Contact Us at 022 2580 6868

Expect More Rate Cuts

With the RBI reducing its repo rate by 25 basis points, home buyers can rest assured that rates are not going to rise in the near to medium term and look forward to greater transparency also

 The RBI announced a cut on the repo rate of 25 basis points, which is very much in line with market expectations. There was a narrow fiscal deficit during FY2016, and the recent Union Budget targeted a further narrowing of fiscal deficit for the current fiscal year to 3.5% of the GDP.

When fiscal deficit is high, there is increased pressure on the Government to borrow more from the market, resulting in upward pressure on interest rates. However, that will likely not be the case this year. In the recent budget statement, the Finance Minister slashed interest rates by 40-130 bps on various small savings schemes.

When deposit rates are low, there is room for lending rates to come down without hurting banks' net interest margin. This is a big plus in the current scenario where despite a 125 bps cut in the recent past, banks were reluctant to pass the benefit to end-users.

The latest inflation data for the month of February showed a steeper-than-expected slowdown in inflation to 5.18%. Also, food and oil prices have shown signs of remaining largely stable, giving hopes that there is no major risk to inflation in the coming months. RBI anticipates the rate to hover around a comfortable 5.0% mark during the financial year.

Given this macroeconomic scenario, almost all polls of economists conducted by major Indian media houses unanimously suggested a cut of at least 25 bps, with few economists even expecting a bolder 50 bps cut.

Implications for the real estate sector
Real estate, along with automobile and banking, is an interest rate sensitive sector, and definitely benefits from interest rate reductions. While on one hand, developers are doing all they can to ensure that homes become more affordable to a larger set of buyers, small steps towards rate cuts by RBI will help banks to attract genuine end-user home buyers.

Given that the inflation projection for the near term is also favourable, buyers can rest assured that rates are not going to rise in the near to medium term. On the contrary, they can expect few more rounds of rate cuts going forward, given that there are no untoward macroeconomic shocks expected.

The past few months have worked well for real estate sector. A lot of positive news came during this period:

• Taxation related clarity on REITs paved the way for a new investment cycle
• The Real Estate Regulatory Bill, which will help transparency in the sector to rise in the near-to-medium term, was passed.
• The recent press note on FDI released by the DIPP clears the air around ecommerce and Retail, thereby helping brick-and-mortar retailers to come on a level playing field with ecommerce giants.
• Tax incentives announced in the budget for affordable housing

Also, with the mechanism of determining lending interest rate switching towards MCLR (as enforced by RBI), banks can now be more adept in passing on rate cut benefits to borrowers, while also giving some clarity on the future course of interest rate movements - both of which will help borrowers to plan their EMI outgoings. This is definitely a good move towards greater financial transparency within the banking industry, and for home loan customers.

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THANE: A Realty Hotspot

Thane has emerged as one of the most attractive regions for investment in the Mumbai Metropolitan Region (MMR) due to its fast growing infrastructure, excellent connectivity and thriving commercial and residential activity.

Thane caters to the spill-over demand from the mid-income segment and research suggests that almost half of the supply is concentrated in this sought-after segment. That the market is crawling is certain, the few buyers being those who had to buy a house without deferring their decision. For the other get, waiting and watchful, Budget 2016, the Thane metro, housing Stock in an affordable range are reasons that should be a push.

WHAT COULD WORK WELL?
Transit-oriented development has seemingly worked well. Take the example of Delhi and Mumbai. Property values saw a rise just over a span of three to four years. As soon as the Versova-Andheri-Ghatkopar metro line was announced in Mumbai, residential and commercial markets witnessed a flurry of action pushing up values by a few thousands per sq ft over a few years. Not only that, it did give a boost to live ability in and around the area. Once a neglected suburb of Mumbai, Thane today, could replicate the success story of any Indian transit-oriented corridor if the metro project falls in place. Residential availability statistics show that almost half the housing stock in Thane falls in the Rs 5,000-9,000 per sq ft price bracket. If you are seeking a premium lifestyle, some of Thane's favourable locations like Kolshet Road, Thane east and west, Majiwada and Vasant Vihar offer homes in the price bracket of Rs 9,000-12,000 per sq ft. Premium locations in fact witnessed higher increase in prices, primarily due to new launches.

WHERE SHOULD YOU INVEST? 
Badlapur, Ambernath, Dombivili east, Kalyan west, Ghodbunder Road, Kalwa, Thane east, Kolshet Road, Thane west, Majiwada and Vasant Vihar are the top choices. In Badlapur, while the starting price for 1-BHK units is Rs 10 lakh, larger configuration properties are within Rs 50 lakh. However, with a strong presence of both, local and established developers in the area, prices vary from one brand to another, depending upon the size and amenities provided. Sizes vary from 300 to 1500 sq ft and prices are in the range of Rs 2,600-3,500 per sq ft. In Majiwada, integrated townships, independent buildings and other types of properties are being developed. The data with Magicbricks snows that ready-to-move in units with varied amenities cost Rs 8,000-11,000 per sq ft. Residential projects in Ghodbunder are more planned than otherwise seen in Thane. Several schools, hospitals, banks, shopping malls and departmental stores are available in the area. Various amusement parks, stadiums and gardens have come up in the locality too. Some retail, commercial and institutional projects are also in the pipeline. Easy connectivity is the reason why the service class people are choosing the area. They can commute easily to their offices. Herein, properties are in the range of Rs 6,500 to 8,500 per sq ft.

On an average, ready-to-move in properties command a premium. This was because of the risk associated with investing in underconstruction properties that may be a little less taxing on your budget. If you are looking at Thane, this may be the best time to buy.

To Buy Property in Thane or Know More about Builders and Developers in Thane Contact Us at 022 2580 6868

To read more Mumbai and Thane Real Estate Resources, visit www.mchithane.org
 

Contact
501, 5th Floor, Plot No – A-123/4,
Odyssey IT Park, Road No. 9,Wagle Estate
Thane (W) – 400 604, Maharashtra, India
Mobile : (+91) 9833 4583 23 E-mail: mchithane@gmail.com

Work out a better deal

It is usually possible to negotiate a better rate on festive occasions at certain emerging locations if one is well-prepared

House hunting has become quite a bit more interesting these days. With new areas witnessing real estate development and several builders launching affordable projects within the same radius, the process of comparing options and making a final choice has acquired a new dimension.

Now, it is a situation where it is possible for a home seeker to negotiate a better rate if one is well-prepared with information and follows some basic principles.

The first thing to keep in mind here is that negotiating for real estate does not mean bargaining as such. It is all about doing your homework thoroughly, assessing the scope for 'adjustment' and timing your approach.

Moreover, it is not a strategy that works with every project and every builder. The leading builders and premium projects at prime locations are still impervious to such tactics to a large extent.

However, the smaller builders who are in a hurry to dispose off flats can be persuaded if one ensures that the negotiation is done subtly without making it too obvious.

The increase in office space demand in Thane and nearby locations has led to a walk-to-work concept and reduced travel time in a major way. Thane is also endowed with multiple renowned schools, multi-specialty hospitals, temples, shopping malls, avenues for recreation and entertainments, fine dining restaurants and eateries within the easy reach of the people.

Compare projects
Jignesh Makwana, a Malad resident seeking a two-bedroom home in the Rs. 20-25 lakh range, points out that fringe areas that have opened up for development on a large scale offer the scope for negotiation. "If you make the effort to visit every project and then do a detailed comparison of their rates and aspects like the actual carpet area, layout design, etc., you get a good idea of the projects that have an edge over the others. After doing that, when you try to negotiate, it is from a position of strength. You have specific information at your fingertips and that makes it difficult for the sales person to refute your logic while negotiating for a lower rate," he says.

Right opportunity
It is also important to time your negotiation. Sonal Shah from Mulund, points out that weekends are not a good time for this purpose. "There are several people waiting behind you with queries, so the sales person's attention is diverted to some extent. Also, he may not want to agree to a lower price in front of the other customers. The smart thing is to go on a weekday, preferably in the afternoon. Being a marketing professional myself, I know that the month end is a good time to negotiate because every sales person has targets to meet. If you try and push for a lower rate per sq. ft. during the last week of the month, the chances of getting a yes are more as compared to the first week of the month," she feels.

Limited offers
Another new development that is helping home seekers negotiate better rates is the 'limited period' offer by certain builders.

Sunil Gatge, a Thane resident, suggests that such occasions are a good leverage to try and negotiate a better rate from the builder of an adjacent project. "After all, everyone wants to make a sale. This way, you are putting forward a simple proposition that cannot be denied, because the adjacent project's lower rate is being prominently highlighted. Negotiating with the sales person of a rival project on such 'special' days has a better chance of success," he predicts.

To read more Mumbai and Thane Real Estate Resources, visit www.mchithane.org
 

Contact
501, 5th Floor, Plot No – A-123/4,
Odyssey IT Park, Road No. 9,Wagle Estate
Thane (W) – 400 604, Maharashtra, India
Mobile : (+91) 9833 4583 23 E-mail: mchithane@gmail.com

The Rise and Rise of Thane

One of the Most lucrative spaces on the real estate map, Thane, has risen as a realty hostpot among buyers and developers alike over the years.

New projects in downtown Mumbai are close to saturation point and have been observing a space crunch, causing the growth in the mainland towards the northern and eastern directions, thus creating the 'up-town phenomenon'. The migration of aspiring job seekers into Mumbai, growing nuclear families, better lifestyle, connectivity, newer locations offering business op-portunities, an increased affordability and an availability of home loans are creating a huge demand for residential and commercial properties, thereby pushing the growth of areas like Thane and Dombivli-Karjat region.

Thane is hence, growing to be the uptown of Mumbai, In recent times, it has been an attractive destination in terms of infrastructure support and growth prospects. Rightly priced property prices, project facilities and a supporting infrastructure provide an advantage to the real estate here. Currently, Thane has a favourable social infrastructure and connectivity, thanks to the presence of some of the finest developers with a successful track record in this region. Proposed infrastructure plans and their timely execution will place Thane, as a case study, in real estate development of MMR.

As far as residential projects and their consumers are concerned in India, especially in Mumbai, they demand holistic products, which can cater to the ever growing demands of all family members. It is all about providing amenities such as a clubhouse to spend quality time; swimming pool to rejuvenate from the stressed and fast paced life of Mumbai; senior citizen - friendly areas so that they also have their much needed space; a play area for kids and crèches to make sure they are taken care of a well equipped gymnasium and multi- sports facilities to stay fit; hobby rooms to engage in personal passion, etc. Thane can provide all the above mentioned amenities within your residential projects as well as within a small radius of your home and that too, at a much acceptable price point. In Mumbai, where affordability of owning your dream home is getting dearer, it is of utmost importance to pick the right location and project.

Today, Thane is encompassing the luxury element of downtown Mumbai on one side and smart sized apartments on the other side; i.e. studio, compact 1 and 2 BHKs and smart 3 BHKs.

Neral is also being touted as the ‘next Badlapur’ owing to the infrastructure development. Vikram Gadekar, owner, Sree Vriddhi Properties says, “While much of the development in Badlapur happened because of Ambernath and proximity to Thane, Neral is a close beneficiary owing to its proximity to Badlapur. Despite the fact that Vangani and Shelu are closer to Badlapur, infrastructure development is hinting at Neral as the next beneficiary.”

The increase in office space demand in Thane and nearby locations has led to a walk-to-work concept and reduced travel time in a major way. Thane is also endowed with multiple renowned schools, multi-specialty hospitals, temples, shopping malls, avenues for recreation and entertainments, fine dining restaurants and eateries within the easy reach of the people.

The topography also provides for fresh and non-polluting air-quality, especially in the region like Ghodbunder Road, which is surrounded by natural greenery of Sanjay Gandhi National Park on one side and the flowing Vasai Creek and Ulhas River on the other. The planned infrastructure of the city keeps away the dumping grounds, pollution and thrash areas to ensure freshness in the air levels all the time. Moreover, Thane has over 33 lakes, which provides for additional items on your weekend places-to-visit list.

Speaking about connectivity; Thane enjoys superb connectivity to Navi Mumbai as well as to the eastern and western suburbs of Mumbai via the Ghodbunder Road. With the onset of various intersections like JVLR, SCLR, Eastern Freeway, NH-8, Mumbai-Nashik Highway and the Thane-Belapur Road, Thane forms the central hub to reach any where within 30-40 minutes. Besides the central harbour rail line, Thane-Panvel rail line and the central railways connect Thane to Mumbai's railway network very well. Future connectivity plans include the proposed Wadala-Kasarvadavli Metro rail that would run along the Ghodbunder Road with more than 10 halts within Thane itself. Other infrastructural developments on the cards include the construction of the Borivali- Tiku-ji-ni-wadi Tunnel, Ovala- Chena Freeway, Thane-Diva Road, the fly-over at Bhiwandi bypass, metro-3 project to Kalyan and also the waterfront development to connect Vasai and Gaimukh Creek.

To support the growth of this sector, the government is also giving tax rebates on housing loans, interest exemptions and fastening the process of approvals and sanctions. To sum it all, Thane the emerging uptown of Mumbai, is now catering to all demands from MIG housing to super luxury projects with major realty brands launching huge projects, thus making it a realty hub. Today, it is the most desirable, self-sustainable and environment friendly destination of the city.

To read more Mumbai and Thane Real Estate Resources, visit www.mchithane.org

Contact
501, 5th Floor, Plot No – A-123/4,
Odyssey IT Park, Road No. 9,Wagle Estate
Thane (W) – 400 604, Maharashtra, India
Mobile : (+91) 9833 4583 23 E-mail: mchithane@gmail.com

Infrastructure push unlocks land in Thane, beyond

Thane’s development from a neglected corridor to a developing micro market is of interest to investors. Enhanced connectivity, development prospects, translating city development plans into reality, possible inclusion of some areas within the municipal corporation limits and affordability are some of the reasons that are drawing potential buyers to Thane.

Danish Bhagat, director, New Sky Infrarealty Marketing Pvt Ltd says, “With the Panvel-Bhimashankar-Chakan Highway, the distance between Mumbai to Karjat would be reduced by 21 km. As for the Neral-Badlapur Highway, commuters from Karjat to Khopoli or Pune would be benefitted. Meanwhile, Karjat also awaits a multi-disciplinary university, a project by a renowned business magnate.”

Affan Ansari, a local realtor in Thane informs, “Majiwada Junction Flyover facilitates cutting across the busiest routes of Thane. Strategically planned, commuters from Mumbai would have easy access to Kalyan. Similarly, this flyover which is already half operational, facilitates to and fro connectivity to Mumbai, Nashik and other areas where most economic drivers are.” So, whether you are working in Borivili, Malad or Mulund, the three flyovers planned here are getting developed in phases and assist travel.

Thane’s most active residential pocket is Ghodbunder Road catering to both commercial and residential development with many new projects under construction. Connectivity to Eastern and Western Express Highways in Mumbai has been a determinant.

At the foothills of the Sahyadris and close to Matheran is Neral. To add to the modest price of property here is the good climate of the region. “Matheran and areas close by have tourism potential and a lot of investors eye this area for a second home. The social fabric is decently sufficient to cater to the needs of the population,” says a local realtor.

Neral is also being touted as the ‘next Badlapur’ owing to the infrastructure development. Vikram Gadekar, owner, Sree Vriddhi Properties says, “While much of the development in Badlapur happened because of Ambernath and proximity to Thane, Neral is a close beneficiary owing to its proximity to Badlapur. Despite the fact that Vangani and Shelu are closer to Badlapur, infrastructure development is hinting at Neral as the next beneficiary.”

Neral is under Gram Panchayat but awaits inclusion within the corporation limits as local realtors anticipate Neral’s population to grow to afford the eligibility.

Titawala, under the Kalyan Dombivli Municipal Corporation (KDMC), is seeing rapid development owing to its tourism potential and the efforts of local authorities. RK Sonawane, Commissioner, KDMC says, “Efforts are in the right direction to make concretised roads, provide adequate water supply, monitor underground drainage and develop infrastructure.”

“As for West Kalyan, housing demand has been sizeable and the area is rapidly developing,” adds Sonawane.

KDMC’s City Development Plan (CDP) could also be an encouragement to prospective buyers. The CDP launched in the year 2007-08 lists the Towala lake renovation project in Titawala as well as the need to equip the area with better physical and social infrastructure as it is a religious tourism destination where pilgrims converge from all over Maharashtra. Water treatment plants, supply of potable water and underground drainage are also looked into.

Subhash Patil of Subhash Patil and Associates, consultant and co-ordinator, CDP, confirms, “All the projects highlighted in the CDP have either been completed or are in progress.”

Five years ago, Murbad and Shahapur’s real estate was stark different. Arun Pawar of Savvy Realtors and Investment Consultants, says that more developers launching their projects here, availability of clear title plots, region’s potential because of proximity to NH-3 as well as to the Delhi Mumbai Industrial Corridor (MIDC) is a clear hint of the progress.

This industrial area has four dams and is a major source of water supply to areas in Mumbai. Thus, it has been declared as a no-chemical zone, informs Pawar.

All the aforementioned areas have adequate water and electricity supply as well as basic social fabric. Consequently, the local workforce and investors from Mumbai and Pune are equally interested in properties here. Trend watchers believe that with rapid development, property prices may go up soon. Make the most of this time!

To read more Mumbai and Thane Real Estate Resources, visit www.mchithane.org
 

Contact
501, 5th Floor, Plot No – A-123/4,
Odyssey IT Park, Road No. 9,Wagle Estate
Thane (W) – 400 604, Maharashtra, India
Mobile : (+91) 9833 4583 23 E-mail: mchithane@gmail.com

Thane: Mapping the Growth Tale

Thane city, an extended suburban area of Mumbai, has witnessed several changes in the recent years, both on the commercial as well as the residential front. Being one of the vital suburbs on the central side, the progress of Thane city can be credited to its growing residential, commercial, retail and infrastructure development.

It was supposed to be an alternative destination for those who could not afford to buy a house in Mumbai. However, it turned out to be not just an attractive desti-nation but also a case study in ur-ban destination development. The wheels of fortune have turned 360 degree and today, it stands among the top choice for home-buyers.

Physical and social infrastructure, appreciation potential, launch to sales ratio of the hous-ing projects, rental market or the overall liveability index, Thane scores much better than any oth-er sub-market that has emerged in any other part of the country. It is hence, no surprise that a ILL re-port credited Thane to be among top seven investment destina-tions in the country.

What makes the liveability index of Thane so high? What are the catalysts to the amazing growth story of Thane? To what extent it has grown by default and how far the built environ-ment has designed it to be a suc-cess story?

Brotin Banerjee, MD and CEO of Tata Housing says, liveability is judged by a mix of factors, includ-ing demographics, education, health and medical standards, safety, housing options, sociocul-tural factors, political and eco-nomic environment and natural-built/planned environment. According to him, on all scores, Thane has emerged as the fastest growing destination with infra-structure at par with international standards. The presence of an industrial belt in the vicinity is in turn driving the growth of the region and the demand for civic and residential infrastructure.

"Thane is well-connected through a network of highways and ensures greater connectivity to the suburbs. The region shows potential for tremendous growth, with several projects in the pipeline too. Thane enjoys a cen-tral location and good railway connectivity with other areas in the MMR as well. With the profu-sion in the number of retail and commercial spaces, Thane is steadily moving towards a self-sufficiency model, which makes it a place of choice for all buyer seg-ments. Moreover, the region of-fers quality housing options across the spectrum for an in-creasing urban population," adds Banerjee.

Shailesh Puranik, MD, Puranik Builders also believes, Thane has emerged as one of the fastest growing city in the Mumbai Metropolitan Region (MMR) in the re-cent past and possesses excellent infrastructure besides being cos-mopolitan in nature. Thane's greatest advantage is its geographical proximity to both Mumbai and Pune as well. Thane has also registered a robust infra-structural growth in recent years, with the state government giving a special thrust to development in this region.

"Development of infrastructure such as the Santacruz-Chembur Link Road and other such projects has reduced the travel time be-tween Thane-Mumbai and Thane and Navi Mumbai to 25 minutes from the earlier 40-45-minutes, making travel between the two cities very convenient. Infrastruc-ture development has thus played a major role in bringing Thane and its peripheral area into focus and making it an attractive desti-nation for home-buyers. Various flyovers on the busy roads have addressed the issues related to traffic congestion too, The up-coming metro is likely to make transportation a smooth ride for all as well," says Puranik. Dharmesh Jain, chairman and managing director, Nirmal Lifestyle has a different take when he says that Thane has established its distinct identity in terms of industrial growth and in-frastructural development over the years. Along with the devel-opment of other industries, the IT hardware industry has also shown considerable growth in the recent years. Also, Thane has seen a substantial growth in residential development compared to other suburbs in Mumbai over the years.

"The reason behind Thane's ro-bust growth is the government's proactive focus on development of infrastructure projects in this region. Overall, Thane has emerged as a new destination for real estate developers and home-buyers. Thane as an area has many options available and the fast growth in infrastructure and recently proposed extension of Mumbai metro from this area will make it an attractive region for investment," says Jain.

This raises a fundamental point as to whether Thane has reached its saturation point or not. Our experts feel it has not! Within the built environment of the property market in this part of the world, it is believed that various growth corridors of Thane are still very attractive for investments. More importantly, the boundaries of Thane are just expanding and some of the locations beyond Thane are very promising for the future growth.

Of course, one of the assets of Thane is the Ghodbunder Road. It has access to both, Navi Mumbai and Mumbai, and also to the extended western suburbs. So, from the perspective of property investment, Thane has developed into an ideal real estate destination for investment. More importantly, the liveability index of Thane is pretty high and that has 'been a major catalytic factor for its amazing growth story so far. Overall, the growth story of Thane is worth grabbing eyeballs.

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